‘Go green or pay up’: Ships to pay new global pollution tax

By Rorisang Modiba

  • Countries have agreed to a global R1,800-per-ton carbon tax for ships that don’t meet fuel standards or fund climate efforts.
  • The United States walked away from talks and warned it would fight any tax that affects its ships.

Massive cargo ships could soon be forced to take out  R1,800 for every ton of carbon dioxide they pump into the air — unless they switch to cleaner fuel or help fund a green energy plan.

Shipping nations around the world have agreed to the first global carbon tax targeting emissions from ships. 

The deal, signed by members of the International Maritime Organization (IMO), means the tax will start in 2028.

But it won’t apply to ships that already pay into the IMO’s net-zero fund or use eco-friendly fuel.

The IMO said the decision was a “compromise” after tough talks in London, where its Marine Environment Protection Committee spent the week debating the issue.

Ship pollution makes up around 3% of the world’s greenhouse gases, and the number is rising as vessels get bigger and move more cargo.

To help tackle that, the IMO also approved a new fuel rule that will force ships to use cleaner energy. 

A special emissions control zone will also be set up in the North-East Atlantic, bringing in stricter fuel and engine rules for ships in that area.

Over 60 countries — including small Pacific island nations — pushed for a flat rate tax on every ton of emissions. But others like China, Brazil, Saudi Arabia and South Africa wanted a credit trading system instead. A middle ground was finally agreed on.

The United States refused to join the talks and even tried to convince others to reject the deal. The US warned that taxing ships could push up costs and lead to inflation. The Trump administration even threatened to respond with penalties of its own.

Pictured above: Massive cargo tanker ships.

Image source: Stock

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